New York, USA – November 2025: Wahed, a global leader in Shariah-compliant digital investing, has partnered with KraneShares, a provider of research-driven exchange-traded funds (ETFs), to launch the KraneShares Wahed Alternative Income Index ETF (NYSE: KWIN). The new fund introduces a Shariah-compliant approach to alternative income generation, designed to attract Muslim and values-based investors seeking stable returns without compromising their ethical or faith-based principles.
KWIN tracks the Wahed Shariah Alternative Income Index, which excludes conventional interest-bearing assets. Instead, it generates returns through Shariah-permitted forward sale agreements, allowing investors to earn income while remaining compliant with Islamic law and avoiding both riba (interest) and excessive risk exposure.
According to Mohsin Siddiqui, Chief Executive Officer of Wahed, “KWIN was created for investors who want to stay true to their faith while accessing alternative income-generating investment strategies. We’ve combined rigorous Shariah screening with modern portfolio techniques to deliver a halal and competitive product suited to today’s markets.”
For years, Sukuk, or Islamic-compliant bonds, have served as the main fixed-income option for Muslim investors. However, these instruments often come with challenges such as limited liquidity, price volatility, and exposure to sovereign credit risk. KWIN was engineered as a modern alternative to Sukuk, offering daily liquidity and greater accessibility through its ETF structure.
The fund’s strategy uses exchange-traded FLEX contracts based on Shariah-approved equities. These positions are structured to be delta-neutral, meaning they are designed to minimize sensitivity to market movements. This approach allows KWIN to generate alternative income without exposure to traditional interest-based assets or directional equity risk.
Jonathan Shelon, CFA, Chief Operating Officer at KraneShares, described KWIN as “a powerful bridge between faith and finance.” He added, “KWIN reflects our commitment to innovation and our belief that values-based investors deserve access to the same advanced income strategies as institutional players.”
KWIN’s underlying index applies a rigorous two-step Shariah screening process overseen by Wahed’s Shariah Advisory Board. The first stage excludes sectors such as conventional finance, gambling, alcohol, pork products, adult entertainment, and weapons manufacturing. The second stage applies financial ratio filters to eliminate companies with high debt levels or income from non-permissible sources exceeding 5% of total revenue.
To maintain compliance, Wahed’s Shariah team reviews portfolio components quarterly, ensuring ongoing adherence to Islamic principles. All holdings are publicly disclosed for full transparency. The fund’s governance also aligns with AAOIFI (Accounting and Auditing Organization for Islamic Financial Institutions) standards, giving investors assurance that all income and capital gains are derived from halal sources.
The partnership between Wahed and KraneShares combines Wahed’s deep Islamic finance expertise and digital investment accessibility with KraneShares’ experience in innovative and thematic ETFs. Together, they aim to make halal investing more mainstream and accessible in global public markets.
The launch of KWIN highlights the growing global demand for faith-aligned and ethical investment options. With the Islamic finance market projected to surpass $5 trillion by 2026, investors are increasingly seeking diversified, transparent, and liquid Shariah-compliant instruments.
By tracking a rules-based index and employing forward-sale mechanics, KWIN seeks to provide consistent income while maintaining a risk profile distinct from both equities and traditional fixed-income products. The ETF format also enhances accessibility and transparency for institutional and retail investors alike.
Wahed and KraneShares emphasized that while KWIN is designed for Muslim investors, it also appeals to global values-driven investors looking for ethical alternatives to interest-based instruments. The fund reflects a broader trend toward ESG and faith-conscious investing, where financial performance aligns with integrity, transparency, and sustainability.